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Stable Value Solutions

Help employees maximize capital preservation returns in their retirement portfolios with our flexible, low-risk Stable Value solutions.

What is a Guaranteed Interest Contract?

Guaranteed Interest Contracts (GICs) have been a key component of stable value funds since the beginning. And for good reason. Through GICs, stable value meets two important needs for retirement plan participants:

  • Principal protection
  • Steady growth by earning a competitive interest rate 

Traditional Guaranteed Interest Contracts (GICs)

Traditional GICs are popular retirement plan additions because of their simplicity and stability. Benefits include:
  • Competitive, guaranteed interest rate, which is equivalent to yields of similar duration bonds
  • Certainty of return, because the fixed interest rate is unaffected by market interest rate fluctuations, asset values or participant withdrawals 
  • Protection of principal, so participants’ investments are secure
  • Principal and interest are available for participant withdrawals, at full book value, and guaranteed by MetLife1 

Separate Account Guaranteed Interest Contracts (GICs)

Separate Account GICs combine the best features of Traditional GICs with added investment flexibility, control and security in one comprehensive package. Benefits include:
  • Access to industry leading investment sub-advisors
  • Segregation from the insurer’s general account assets
  • Portfolios that are managed to specific investment guidelines/benchmarks with no fixed maturity- reducing reinvestment risk for contract holders
  • Transparency of fees. portfolio, and crediting rate methodology

Synthetic Guaranteed Interest

A Synthetic GIC can maintain retirement savings and yield steady growth — just as you’d expect from Stable Value.

Synthetic GICs have two components: first, a portfolio of bonds that are owned by the plan or trust and managed by an assest manager selected by the Plan Sponsor and second, an insurance contract issued by MetLife that provides a book value wrap around the underlying investments.1

Contact a MetLife representative to discuss putting Synthetic GIC’s to work for you and your plan participants.  

Funding Agreements

Funding Agreements are unique investment contracts for use with non-qualified assets. Benefits include:
  • Can be highly customized
  • Choice of fixed or floating interest rates for added flexibility
  • Competitive interest rates
  • Guarantee of principal and interest1

Collective Investment Trust solutions (CITs)

Not all plan sponsors can take advantage of Traditional or Separate Account GICs. Collective Investment Trusts (CITs) “pool” the assets of multiple plans together in order to gain access to Stable Value. Benefits include:
  • Principal protection and guaranteed interest rates1
  • Diversification among leading asset management sub-advisors
  • Fee structures that meet the needs of a variety of  retirement plan sponsors
  • Available to 401(K), 401(A), & 457(B) government plans

View CIT Partner Fund Sheets

Why Stable Value?

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Meet the Team

Get to know the experts who can provide more information about Stable Value, and how it may fit into your company’s retirement plan.